Markets await Powell’s speech to save them, again

The Nasdaq 100 index dropped nearly 3% yesterday, following a 2% drop on Tuesday as US yields accelerated sharply higher again.

Tech stocks, without earnings or revenues, financed mostly by debt, are the most sensitive to rising yields. 

Later in the day, the Federal Reserve Chair Jerome Powell is due to speak about the US economy at an online event hosted by the Wall Street Journal. Last week he had two appearances, and after both of them, stocks rallied sharply. The same could happen today as he will most likely try to talk down the bond market.

Additionally, US jobless claims will be released, along with factory orders. 

Meanwhile, British new car registrations fell by 36% year-on-year in February, with volumes at their lowest monthly level since 1959. 

In the FX, the greenback continued to push higher, with the EURUSD pair falling toward the 1.20 level and the USDJPY pair jumping above the 107 threshold. 

Oil continues to defy gravity, and the WTI benchmark is staying above the important 60 USD support, while gold, silver, and copper all plunged recently. 

Source: https://www.axiory.com/market-news/markets-await-powell-s-speech-to-save-them-again